vAuto’s acquisition of Auto Trader comes at a time when consolidation of information technologies and companies is happening more and more – as dealers look for more creative and innovative ways to market effectively and strengthen customer loyalty, with remarketing becoming a growing segment. Parent company AutoTrader has been at this plan for a while now, having integrated vAuto, Kelley Blue Book, VIN Solutions, and HomeNet Automotive into its corporate strategy.
As remarketing changes and the upstream channels become more important and complex, absorbing a company like Auction Genius is timely and makes sense. Competitors are traveling similar channels, with examples being ADESA acquiring online auction firm OPENLANE and with development of Manheim OVE.com. As for vAuto’s decision, the company says Auction Genius’ integration with vAuto’s Provision system will eliminate the inefficiencies and difficulties dealers encounter as they evaluate and purchase used vehicles from wholesale auctions.
